Information Regarding Notice of Intention to Issue Certificates of Obligation

Information Regarding Notice of Intention to Issue Certificates of Obligation

 

At its meeting on May 5, 2020, the City Council of the City of La Marque voted to postpone the public hearing on and the consideration for final passage on first and final reading of an Ordinance Authorizing the Issuance and Sale of the City of La Marque, Texas, Tax and Revenue Certificates of Obligation, Series 2020; Levying a Tax and Providing for the Security and Payment Thereof; and Enacting Other Provisions Relating Thereto to a city council meeting to be held on June 9, 2020, with such meeting tentatively scheduled to take place at 6:00 p.m. at 1109-B Bayou Road, La Marque, Texas, 77568 (unless alternative meeting arrangements are required to address public health concerns, which meeting arrangements will be specified in the notice of such meeting posted in accordance with applicable law).


The Certificates of Obligation discussed in the notice below will be considered at the City Council meeting on June 9, 2020. In accordance with the Governor’s March 16, 2020 action suspending certain provisions of the Texas Open Meetings Act, the City Council will be conducting a video/telephonic meeting that will be open to the public. The agenda for the meeting contains details on how to participate in the City Council meeting: http://cityoflamarque.org/AgendaCenter/ViewFile/Agenda/_06092020-1220


Please contact the City Clerk for additional information regarding the agenda item and the process for accessing the meeting.



NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION


NOTICE IS HEREBY GIVEN that the City Council of the City of La Marque, Texas (the “City”), will meet at 1109-B Bayou Road, La Marque, Texas, 77568 at 6:00 p.m. on the 5th day of May, 2020, which is the time and place tentatively set for a public hearing on and the final passage on first and final reading of an Ordinance Authorizing the Issuance and Sale of the City of La Marque, Texas, Tax and Revenue Certificates of Obligation, Series 2020; Levying a Tax and Providing for the Security and Payment Thereof; and Enacting Other Provisions Relating Thereto (the “Ordinance”) and such other action as may be deemed necessary to authorize the issuance of the City’s certificates of obligation, in the maximum aggregate principal amount not to exceed $13,000,000 payable from ad valorem taxes and from a limited pledge of a subordinate lien on the net revenues of the City’s water, sewer and wastewater system, bearing interest at any rate or rates not to exceed the maximum interest rate authorized by law, as shall be determined within the discretion of the City Council of the City at the time of issuance of the Certificates, and maturing over a period not to exceed forty (40) years from the date of issuance, for the purposes of evidencing the indebtedness of the City for all or any part of the costs associated with the (i) rehabilitation of, construction of improvements to, and the equipment of the City’s water and sewer system, including lift stations, elevated storage tanks, wastewater treatment plant head works, and the expansion of the wastewater treatment plant, (ii) the construction of improvements to roads and related rights of way, including lighting, signals, signage, drainage, and landscaping, and (iii) cost of professional services incurred in connection therewith. The estimated combined principal and interest required to pay the Certificates on time and in full is approximately $19,372,000. Such estimate is provided for illustrative purposes only, and is based on an assumed interest rate of 4.00%. Market conditions affecting interest rates vary based on a number of factors beyond the control of the City, and the City cannot and does not guarantee a particular interest rate associated with the Certificates. As of the date of this notice, the aggregate principal amount outstanding of tax-supported debt obligations of the City (excluding public securities secured by an ad valorem tax but designated by the City as self-supporting in Resolution No. R-2020-0002, dated February 10, 2020, which resolution is available from the City upon request) is $14,033,140, and based on the City’s expectations, as of the date of this notice the combined principal and interest required to pay all of the outstanding tax-supported debt obligations of the City (excluding public securities secured by an ad valorem tax but designated by the City as self-supporting) on time and in full is $20,472,120.


WITNESS MY HAND AND THE OFFICIAL SEAL OF THE CITY, this 10th day of February, 2020.



Robin Eldridge
City Clerk
City of La Marque, Texas